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Question 20 2 pts Speed Quest Inc, manufactures speed boats. Currently, the company manufactures its own engine for the boats at the following unit cost
Question 20 2 pts Speed Quest Inc, manufactures speed boats. Currently, the company manufactures its own engine for the boats at the following unit cost Direct materials $25.00 Direct labour $40.00 Variable overhead $15.00 Fixed overhead $20.00 Another manufacturer has offered to supply Speed Quest with the engine at a cost of $85 each. Speed Quest currently makes 100 annually If Speed Quest accepts the offer, what will be the short-term impact on net income? O Decrease of $85 000 Increase of $15 000 O Decrease of $5000 Increase of $20 000
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